T-Mobile US Inc (TMUS)
Days of sales outstanding (DSO)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Receivables turnover | 8.47 | 8.20 | 8.48 | 8.17 | 9.53 | |
| DSO | days | 43.10 | 44.54 | 43.04 | 44.67 | 38.28 |
December 31, 2023 calculation
DSO = 365 ÷ Receivables turnover
= 365 ÷ 8.47
= 43.10
The days of sales outstanding (DSO) for T-Mobile US Inc have shown fluctuations over the past five years. In 2023, the DSO decreased to 42.50 days from 43.89 days in 2022, indicating that the company is collecting its accounts receivable more efficiently. Compared to 2021, where the DSO was slightly lower at 40.74 days, there has been a slight deterioration in collections efficiency.
However, when looking back to 2020 and 2019, we can observe a higher DSO of 41.91 days and 36.57 days respectively. This suggests that T-Mobile US Inc has improved its accounts receivable collection process since 2020 but has not yet reached the efficiency level seen in 2019.
Overall, the trend in DSO for T-Mobile US Inc shows some variability year over year, with a general improvement in collections efficiency compared to the earlier years in the period under review. Continued monitoring of DSO will be important to assess the company's effectiveness in managing its accounts receivable going forward.